The ad world is in the middle of its annual migration to Las Vegas. And this year, streaming services are coming out in force.
One year into its ad-supported version, Netflix is reaching scale. Amazon Prime Video is about to flip its 100 million subscribers from ad-free to ad-supported shows. And big incumbents like Disney and NBCUniversal are showing they can hold their own with products like Disney+ and Peacock. Reporting from Las Vegas, our associate editor, Alyssa Boyle, gives an on-the-ground assessment of why the streaming services are so prominent this year.
LG’s boardroom takeover is reversed
Then, we talk about a TV lawsuit worthy of a TV drama. The shareholders of Alphonso just won their lawsuit against LG Electronics this week. And the backroom intrigue unearthed by the lawsuit is truly next level.
When LG bought a majority stake of Alphonso for $80 million in 2021, it had the option to buy the rest of Alphonso or help it go public in the following five years. But when Alphonso booked $270 million in revenue in 2022, its valuation ballooned to $1 billion dollars, making it difficult for LG to buy the remaining stake.
So LG replaced the members of Alphonso’s board so they could approve a purchase of the rest of the company at a valuation far lower than $1 billion. Now, LG has been ordered to reinstate the board members it ousted, and chastised for reneging on its contract. Our managing editor, Allison Schiff, who has been following the case since it started late in 2022, shares more on what came out during the lawsuit and what it means for LG Ads and Alphonso’s future.
